MACD
A buy signal is generated when the lines crossover in the buy (lower) zone and vice versa if it in the sell (upper) zone. More powerful as a tool if combined with its histogram. When price making new high but the MACD histogram does not, a sell signal is generated, and when price making new low but the MACD histogram does not, a buy signal is generated. But have to wait for confirmation by looking at the MACD lines crossover before you jump on the trade. (Check the picture attached)
Bollinger Band
BB divides the price acton into two separate areas, I call it buy zone (lower band) and sell zone (upper zone). When market is trending, a buy signal has generated when the price closes in the upper band. But, instead of simply entering the trade, look for an opportunity to buy on any small dip in the price (buy on dips). A sell signal has generated when the price closes in the lower band, and will only trade when the price makes a small peak (sell on peaks).
In a range-bound market where price oscillates between support and resistance lines, buy when the price is in the lower zone and sell when the price is in the upper zone. Hence the phrase, "play the range" and "buy low, sell high".
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